Home Sales slowing down with rising Interest rates

[William Costello]

Existing home sales dropped in April for the third month in a row, slowing to a pace not seen since June 2020. 
A decline in demand was expected as interest rates climb and sky-high home prices continue to rise. Economists say the trend will likely continue. The inventory of unsold homes on the market also jumped in April to 1.03 million units. That's up 10.8% from the month before and down 10.4% from April 2021. How do you think that will effect the investment apartment community going forward? 

[Russell Brazil]

Quote from @William Costello:

Existing home sales dropped in April for the third month in a row, slowing to a pace not seen since June 2020. 
A decline in demand was expected as interest rates climb and sky-high home prices continue to rise. Economists say the trend will likely continue. The inventory of unsold homes on the market also jumped in April to 1.03 million units. That's up 10.8% from the month before and down 10.4% from April 2021. How do you think that will effect the investment apartment community going forward? 

The drop in existing home sales is not due to rising interest rates, its due to no homes for sale.

Unsold inventory may have jumped, but means absolutely zero in this low inventory environment.  For perspective, a normal market in say April 2015 had 4 million homes for sale. 

This is why it is important to understand the actual numbers and to look past sensationalistic headlines.